There is a thread on the US shaman forum supporting this build.
In addition there are a few posts by Aether on the Elemental Shaman thread on the Elitist Jerks site.
As of now, depending upon your gear level, it could be the most optimal build for some.
In the near future, with the elemental scaling changes, this will likely not be true.

The closest we get to a caster offhand is a dagger with critical & hit ratings on it - no actual spell power.
Spell damage off-hand weapons were specifically removed because of this build in beta.
Back in the beta, the 30% of AP becomes SP talent was a few tiers higher and would allow an extra 10 pts into Elemental, making the build more viable.

According to testing done with this build, Stormstrike is a net dps loss.
The build lacks a lot of melee stats such as Expertise; Stormstrike costs you a Lightning Bolt cast and gets you almost no damage itself.
The next few LB's hit a lot harder for a net damage loss compared to straight LB spam without any Stormstrike.

The main strength of the build is raid synergy for the shaman.
Almost every stat (and thus raid buff) will increase your spell power.
Strength, Agility, Intellect, Attack Power, Haste, Crit etc.
You yourself would not provide the raid with Totem of Wrath; but most raids will have two shaman's and you could easily include an Elemental with this build.
Between the two, you'd provide the raid with all non-resto specific totems and two Bloodlust/Heroism applications.